Question 6 (Using same pool from Question 1) What is the WAM of this pool at issuance? Assume that the loans are not seasoned at the time of securitization. Express your answer in number of months Answer [(5M/45M)*360] + [(25M/45M)*180)+((15M/45M)*360)=40+100+120=260 Months. Question 7 Given the following information on a MPT, what is the total cash flow available to investors in year 8? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% No servicing/guarantee fees Answer Use Excel for this question, but also know how to calculate if given end of year 7 balance. This question is asking how much money investors are schedule to receive in year 8 (not cumulatively). 4,532,660 Question 8 Given the following information on a MPT, what is the anticipated total cash flow available to investors in year 2? . 10 year FRM, fully amortizing, annual payments. No prepayment or default . 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% 0.5% Servicing fee Question 7 Given the following information on a MPT, what is the total cash flow available to investors in year 8? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% No servicing/guarantee fees Answer Use Excel for this question, but also know how to calculate if given end of year 7 balance. This question is asking how much money investors are schedule to receive in year 8 (not cumulatively). 4,532,660 Question 8 Given the following information on a MPT, what is the anticipated total cash flow available to investors in year 2? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% 0.5% Servicing fee Question 6 (Using same pool from Question 1) What is the WAM of this pool at issuance? Assume that the loans are not seasoned at the time of securitization. Express your answer in number of months Answer [(5M/45M)*360] + [(25M/45M)*180)+((15M/45M)*360)=40+100+120=260 Months. Question 7 Given the following information on a MPT, what is the total cash flow available to investors in year 8? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% No servicing/guarantee fees Answer Use Excel for this question, but also know how to calculate if given end of year 7 balance. This question is asking how much money investors are schedule to receive in year 8 (not cumulatively). 4,532,660 Question 8 Given the following information on a MPT, what is the anticipated total cash flow available to investors in year 2? . 10 year FRM, fully amortizing, annual payments. No prepayment or default . 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% 0.5% Servicing fee Question 7 Given the following information on a MPT, what is the total cash flow available to investors in year 8? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% No servicing/guarantee fees Answer Use Excel for this question, but also know how to calculate if given end of year 7 balance. This question is asking how much money investors are schedule to receive in year 8 (not cumulatively). 4,532,660 Question 8 Given the following information on a MPT, what is the anticipated total cash flow available to investors in year 2? 10 year FRM, fully amortizing, annual payments. No prepayment or default 100 loans in the pool Average starting balance of $350,000/loan Mortgage rate 5% 0.5% Servicing fee
